Boston, November 15, 2012 – A new report from Aite Group examines the pressing challenges faced by the global capital markets, analyzes the impact of these challenges on key market participants, and proposes a global capital markets IT community as a means for cost savings and coopetition. It discusses the ins and outs of building such a community and outlines the role of capital markets community in providing a core foundation for the future growth of community participants.
In today’s shrinking world, regional market regulations have global implications and outsourcing and cloud computing are enabling global communities. Against this backdrop, firms are pursuing the creation of a truly global capital markets community—defined broadly, a self-propelling open ecosystem that could provide a core foundation and level playing field for collaboration and competition among community participants worldwide. Open-source code and shared application development are two areas in which all members can cooperate for the greater good.
“The path to creation of an effective capital markets IT community will not be a smooth one,” says Sang Lee, co-founder and managing partner with Aite Group and author of this report. “Given today’s difficult realities, however, characterized by cost-cutting and stagnant market activity, status quo is no longer a viable option. To thrive in this climate, key capital markets participants must be able to focus on their respective core businesses and leverage the existence of mutually beneficial community.”
The report presents eight examples of vendors that are currently pursuing specific capital markets community strategies: Bloomberg, BT, IPC, KVH, NTT Communications, NYSE Technologies, Savvis, and Thomson Reuters.
This 35-page Impact Report contains six figures and two tables. Clients of Aite Group’s Institutional Securities & Investments service can download the report.